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Strategies & Market Trends : A Simple List of General Do's & Dont's of Trading:

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From: Arthur Tang11/21/2006 3:49:51 AM
   of 769
 
What my father taught me?

My father made two killings($250,000 each) in the commodity field. On soy beans with questionable weather resulting in a shortage. He lost one contract in each of the eight out of ten years. And he made money after one contract had substantial gains. He added another.

Wall street equity investment is pretty much the same. You can only invest in company that needs business plan that is convincing. But you can never be fully invested. Start with 80% cash and earning interest.

You should start with promising $10-15 stocks lightly. Add as you go along. If you feel like gambling, buy a few $5-6 stocks. For long range growth stock and bottom fishing, you can invest a few blocks of $1-2 stocks.

Then you can add if these stocks started to move and buy them until you reached your goal; switch them to cash, to go another round of investment.

When my father quit commodity investments, he put his money in as cash pool of a NYSE specialist. He was guaranteed 35% gains each and every year, just like Warren Buffett got at Solomon Bros.
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